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Accordingly, the bank's charter capital will reach VND13.698 trillion($595.57 million).
At its recent annual shareholders' meeting, OCB was also approved to offer five million shares under the Employee Stock Ownership Plan (ESOP) at the price of VND10,000 (43.5 US cents) per share. These shares are also restricted from being transferred within four years from the issuance date.
The bank also plans to offer 70 million shares to domestic and foreign investors. In case foreign investors show interest in purchasing OCB’s shares issued privately, the bank will lift its the foreign ownership limit (FOL) to a maximum of 30 per cent.
With nearly $119.1 million of additional capital, the bank would capitalise on around VND2.6 trillion ($113 million) to supplement its businesses and boost investment activities.
Last year, Japan’s Aozora Bank acquired a 15 per cent stake in OCB in a deal worth $139 million. This was the first M&A deal by Aozora in a foreign market since 2001 and made Aozora OCB’s largest shareholder.
The agreement was also rated by VIR as one of the top M&A deals in 2019-2020.
In May, OCB has been rated to have a “positive outlook” by international ratings agency Moody's thanks to its solid financial foundation, good capital adequacy ratio, and higher profitability than the banking industry average.